Former New York Life Rep Suspended for Falsified Annuity Applications

Qi Hua Yang, formerly with NYLife Securities LLC, agreed to a six-month suspension and a $5,000 fine under a Letter of Acceptance, Waiver, and Consent (AWC) with FINRA. According to FINRA, between December 2022 and June 2023, Yang falsified three variable annuity applications and one fixed annuity application by listing false bank account numbers as funding sources. He also accepted signatures from an individual who lacked authority to sign on the customer's behalf. FINRA found that Yang violated FINRA Rules 2010 and 4511. Yang consented to FINRA's findings without admitting or denying them.

Yang first registered with FINRA in March 2022 as an Investment Company and Variable Contracts Products Representative with NYLife Securities LLC. During the same period, he was an agent with its insurance affiliate, New York Life Insurance Co. In January 2024, NYLife reported Yang's voluntary termination. From April 2024 through August 2025, Yang was registered with another FINRA member firm, which also reported his voluntary termination. Yang was not registered with any FINRA member firm at the time of the AWC.

FINRA Rule 2010 requires brokers to observe high standards of commercial honor and just and equitable principles of trade. FINRA treats falsification, which means creating a document or record that contains altered or untrue information, as a violation of Rule 2010. FINRA Rule 4511 requires firms to keep accurate books and records, and a representative who submits false information causes the firm to violate that duty. For example, a representative would violate these rules by entering a made-up income figure on an application so a customer qualifies for a product, or by backdating a form to meet a deadline.

According to FINRA, Yang prepared four annuity applications for a non-profit organization. Each application listed a bank account that would fund the annuity, but the account numbers belonged to bank accounts that did not exist, at financial institutions where the organization had no accounts. Yang also allegedly failed to confirm that the person who signed the applications had authority to act for the organization, and that person in fact lacked authority. FINRA stated that Yang received advance commissions based on the four applications. NYLife and New York Life Insurance Co. later canceled all four applications and clawed back the commissions.

Lufrano Law, LLC is a national investment litigation firm and has experience representing investors who have investment disputes with brokers and broker-dealers. Please contact us at (800) 627-2179 for more information if you have been the victim of investment negligence or fraud.

The content on this site reflects personal opinions and does not constitute statements of fact. No findings have been made against the firms or individuals mentioned. This blog is intended solely for educational purposes, drawing on publicly available information to provide general insights and a basic understanding of the law. It is not a substitute for legal advice.